What Happened?
Shares of auto services provider Monro (NASDAQ: MNRO) jumped 36.5% in the morning session after the company reported impressive first quarter 2025 (fiscal Q4) results: It was encouraging to see Monro beat analysts' revenue expectations. Additionally, the market liked two aspects of the print: comments that sales in the current quarter were up a healthy 7% thus far and initiatives to close 145 underperforming stores. Overall, this was a strong quarter.
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What The Market Is Telling Us
Monro’s shares are quite volatile and have had 18 moves greater than 5% over the last year. But moves this big are rare even for Monro and indicate this news significantly impacted the market’s perception of the business.
The biggest move we wrote about over the last year was 4 months ago when the stock dropped 26.8% on the news that the company reported weak fourth quarter (FQ3 2025) results. Its same-store sales fell, coming in below expectations. This led to a meaningful EPS miss. Management commented on January trends so far, which were weak due to extreme winter weather that seemed to be hurting store traffic. Overall, this quarter could have been better.
Monro is down 30% since the beginning of the year, and at $17.19 per share, it is trading 44.2% below its 52-week high of $30.82 from July 2024. Investors who bought $1,000 worth of Monro’s shares 5 years ago would now be looking at an investment worth $298.51.
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